Eric Trump, co-founder of the World Liberty Financial (CRYPTO: WLFI) platform, said Wednesday that stablecoins could inject trillions into the U.S. economy and safeguard the dollar.
Trump Says Investors Want To Buy Dollar-Pegged Stablecoins
During an interview with CNBC on the sidelines of the World Liberty Forum at Mar-a-Lago, Trump said that these cryptocurrencies, pegged 1:1 to the dollar, could ramp up demand for the greenback.
“Stablecoins are going to bring literally trillion dollars into the U.S. economy. It arguably could save the dollar,” he stated.
Trump argued that global investors, particularly from countries grappling with rampant corruption, poor governance, and “massive” inflation, can now access an asset backed by the dollar and U.S. treasuries, and join the “greatest financial system” in the world.
Trump’s remarks come at a time when global investors are turning increasingly bearish on the dollar. A survey by Bank of America revealed that USD positioning has fallen to the most underweight level in the bank’s data set since January 2012.
Suspicious Dealings Raise Questions
The company’s World Liberty Financial USD (USD1) stablecoin is now the fifth-largest by market capitalization, valued at over $5 billion, and surpassing PayPal USD (CRYPTO: PYUSD) and Ripple USD (CRYPTO: RLUSD).
The Trumps have placed USD1 at the center of their decentralized finance offerings through the World Liberty Financial platform. World Liberty Financial has also applied for a U.S. national banking license to issue and custody the stablecoin.
However, its dealings with cryptocurrency exchange Binance have raised scrutiny.
Senator Elizabeth Warren (D-Mass.) alleged a potential quid pro quo between the Trump family and Binance’s convicted ex-CEO Changpeng “CZ” Zhao, later pardoned by President Donald Trump. CZ has repeatedly denied these allegations.
Eric Trump ‘Extremely Bullish’ On Bitcoin
Aside from stablecoins, Eric Trump also remained “extremely bullish on Bitcoin (CRYPTO: BTC) and reiterates his $1 million target for the apex cryptocrrency.
Price Action: At the time of writing, the World Liberty Financial token was exchanging hands at $0.1194, up 8.42% in the last 24 hours, according to data from Benzinga Pro.
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
Photo courtesy: Maxim Elramsisy / Shutterstock.com
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